What's Next After Buying Your First Rental Property?

What's Next After Buying Your First Rental Property?

The real estate market reached a value of $3.69 trillion in 2021. It's expected to grow to $6.13 trillion by 2030. Understandably, you may think becoming a real estate investor is worth the effort.

Many of you reading may have already gotten your first real estate property. If so, congratulations! But do you know where to go from here?

Being a new landlord takes more than owning a townhouse or condo. You've got to know how to manage it.

Property management can be tricky, so we have some advice on where to go from here. Keep reading to learn what comes after buying your first rental property.

Renovate, Repair, and Research

Ideally, you'd inspect your real estate property before you buy it. But even if you have, it doesn't hurt to do it again. The property should be clean, functional, and modern.

Make whatever upgrades and repairs you need. Simple things like repainting walls, new fixtures, and landscaping can make a difference. Not only do they freshen up the property, but they'll attract potential tenants.

Brush up on rental regulations and laws while you're renovating. You don't want trouble because you don't understand what's in the Fair Housing Act.

Create Your Marketing Strategy

You're only a technical landlord if no one stays at your rental property. You'll need an attractive listing to get people's attention. Consider your rental unit's best qualities.

Assess what makes your investment unique and desirable. For example, you can list the residence as a beachfront property. Discuss the yard layout and nearby amenities.

Use high-quality photos to showcase your property's best features and social media platforms to spread the word.

Above all else, research your target market. Ask who you're listing to and think about what would make them rent your place.

Learn About Tenant Screening

Tenant screening is an integral part of property management. Real estate investors must find renters but should ensure they won't harm the property. Rental income is irrelevant if it all goes back into repairs.

You'll want to verify employment history and perform background checks. This ensures the potential renter has reliable revenue and isn't involved in criminal activity.

Set up clear rental agreements during the screening process. All these steps will give you a stable rental income and a smooth landlord/tenant relationship.

Inspect and Maintain Your Rental Property

Being a real estate investor isn't a one-and-done deal. You have an ongoing responsibility to the tenant and the property. Regular inspections help maintain the property and its value.

An inspection aids in catching maintenance issues before they become huge issues. Respond to problems that happen outside of inspections quickly. Proper maintenance will satisfy tenants and increase lease renewals.

Being a Real Estate Investor Can Be Hard

Being a real estate investor comes with challenges and often requires learning on the job. New landlords may have trouble with marketing, tenant inspections, and maintenance.

However, PMI US Southwest can help with those services and more. We're a full-service property management company that's helped landlords across Bullhead City and the greater Arizona/Nevada state area.

Contact us and we'll guide you through the landlording process step-by-step.